The government has proposed keeping corporate tax rates unchanged in the national budget for the 2026-27 fiscal year, responding to a long-standing demand from industrialists and business leaders. At the same time, it has announced a special tax incentive to encourage the capital market listing of mobile phone operators.

Under the proposal, the tax rate for listed companies will remain unchanged at 25%, while the rate for non-listed companies will continue at 27.5%.

In addition, any mobile operator that sells at least 20% of its shares through an initial public offering (IPO) and becomes listed on the stock market will receive a 10% rebate on its applicable income tax for that particular fiscal year.

Also, any company that offers at least 10% of its paid-up capital to the public through an IPO or direct listing will qualify for a reduced corporate tax rate of 22.5%. If all of its income and transactions are conducted through banking channels, the tax rate will be further reduced to 20%.

Similarly, non-listed companies that conduct all transactions through banking channels will be eligible for a reduced tax rate of 25%.

DSE Brokers Association of Bangladesh (DBA) President Saiful Islam said keeping the corporate tax rate unchanged will help companies maintain business continuity. He noted that frequent changes in tax rates create difficulties in assessing financial performance and planning business operations. Since the proposed budget keeps the tax rates unchanged, businesses will be able to operate under the same framework as in the current fiscal year.

He further said that the tax rebate should not be limited to newly listed mobile operators only. Similar incentives should also be extended to multinational companies and other new companies seeking listing on the stock market.

The proposed budget has also kept tax rates unchanged for banks, insurance companies and financial institutions. Listed banks and financial institutions will continue to pay 37.5% corporate tax, while the rate for non-listed entities will remain 40%.

In addition, manufacturers of all tobacco products, including cigarettes, bidis, zarda and gul, will continue to be subject to the highest corporate tax rate of 45%, along with an additional 2.5% surcharge.